Tesla Model S Keeps 5-Star Safety Rating Amid Probe

Tesla (TSLA) stock rose Tuesday after the company late Monday announced that the National Highway Traffic Safety Administration has reaffirmed the five-star safety rating of its Model S sedan for the 2014 model year.

The electric car maker, in its statement , also said it is "awaiting feedback from NHTSA regarding their investigation of recent fire incidents" involving the Model S.

The investigation stems from three Tesla fires, in Washington state, Mexico and Nashville, Tenn., that occurred over a five-week period. The two U.S. fires occurred when cars ran over metal objects, which punctured the cars' lithium-ion battery packs. A third followed a high-speed crash in Mexico on Oct. 18. Drivers were uninjured in all the fires.

"It is worth noting that a Tesla vehicle is over five times less likely to experience a fire than the average gasoline car and that there have been zero serious injuries or deaths for any reason ever, fire or otherwise, in a Model S," Tesla said in its statement.

The German Federal Motor Transport Authority has also probed the fires. The agency in early December concluded that "no manufacturer-related defects could be found," as IBD reported.

Tesla stock was up 6% in early trading Tuesday, near 152. Shares of the Palo Alto, Calif.-based company have quadrupled in 2013, peaking at 194.50 on Sept. 30, shortly before reports of the fires and investigations.

Tesla (TSLA) stock rose Tuesday after the company late Monday announced that the National Highway Traffic Safety Administration has reaffirmed the five-star safety rating of its Model S sedan for the 2014 model year.

The electric car maker, in its statement , also said it is "awaiting feedback from NHTSA regarding their investigation of recent fire incidents" involving the Model S.

The investigation stems from three Tesla fires, in Washington state, Mexico and Nashville, Tenn., that occurred over a five-week period. The two U.S. fires occurred when cars ran over metal objects, which punctured the cars' lithium-ion battery packs. A third followed a high-speed crash in Mexico on Oct. 18. Drivers were uninjured in all the fires.

"It is worth noting that a Tesla vehicle is over five times less likely to experience a fire than the average gasoline car and that there have been zero serious injuries or deaths for any reason ever, fire or otherwise, in a Model S," Tesla said in its statement.

The German Federal Motor Transport Authority has also probed the fires. The agency in early December concluded that "no manufacturer-related defects could be found," as IBD reported.

Tesla stock was up 6% in early trading Tuesday, near 152. Shares of the Palo Alto, Calif.-based company have quadrupled in 2013, peaking at 194.50 on Sept. 30, shortly before reports of the fires and investigations.

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